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The Kudlow Report

News/Business. Larry Kudlow. Larry Kudlow provides his unique perspective on business, politics and investing. New.

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Romney 10, Us 10, Benghazi 10, Obama 9, Schwab 8, China 7, U.s. 6, Susan Rice 6, Fbi 5, Europe 5, Oregon 5, Jack Jacobs 4, France 4, Joe 4, Lipper 4, Washington 4, John Mccain 3, Jennifer Rubin 3, Clinton 3, Roger Stone 3,
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  CNBC    The Kudlow Report    News/Business. Larry Kudlow. Larry Kudlow provides his  
   unique perspective on business, politics and investing. New.  

    September 28, 2012
    7:00 - 8:00pm EDT  

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attack. hillary clinton knew. susan rice knew and she went on national tv saying otherwise. president obama may well have known and we ask tonight why shouldent susan rice resign and why shouldn't hillary clinton resign and why doesn't the buck stop with obama himself? this evening, with 1.3% gdp collapsing business investment and a contraction in chicago fed manufacturing, our question is, is this a stall speed speed recovery or are the signs out there that we are going back in to recession? in in addition, want a clue to what balm's patriotic policies are? look at a france. today france instituted a 75% tax rate for millions. more taxes and spending is coming here and i will show you how. first up, 17 days since our ambassador and three american heros were murdered by terrorists in benghazi. the obama white house is chajing
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their story again tonight. listen to what susan rice told the sunday shows two weeks ago, that a was five days after the attack. >> what happened in benghazi is in fact initially a spontaneous reaction to what had transpired hours before in cairo. >> we do not have information at present that leads us to conclude it was premeditated or preplanned. we don't see signs this was a coordinated, planned premeditated attack. in fact, what this began as is a spontaneous, not premeditated response in to what transpired in cairo. >> four days later, the white house and hillary clinton finally called it a terrorist attack. but it has sense come out within 24 hours, the white house, the state department and ambassador knew it was, in fact, in terrorist attack. moments ago the white house put out a statement defending rice saying she was reflecting the view of the government, based on intelligence.
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so this seems like a security breakdown of the worst kind and pre-election white house cover-up and i say it is time for ambassador susan rice to resign right now. joining us to talk about this, we have cnbc contributor jennifer rubin, author of the right turn blog and soon to be joichbed by military list jack jacobs. jen, let me start with you. is this a falsehood, a cover up, a lie? 24 hours, the white house knew, from their intelligence people that this was not about the video. this was not spontaneous, right? i'm using the language they are all using. >> yes. >> this was an al qaeda pre-planned terrorist plot and they put this woman susan rice out there to lie to the american public. >> and they put their own white house spokesperson out there to lie to the american public a number of days later. we are talking a week and a half after the initial pre-planned attack that's had jay carney, the president's spokesperson
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going in front of the cam vas this is only about a video, a movie. this is not america and our policies. that was a lie. by that time certainly people within the administration must have known. i think this is a scandal of the first order. >> susan rice can't say what she said without the authorization of her direct boss who's hillary clinton. >> one would think so. particularly on a matter this important. this was days afterwards. five days after. this is sunday. the attacks happened on tuesday. by wednesday, thursday at the latest the intelligence community was fully aware of that. and by the way, a child would be fully aware of this. this were multiple attacks on 9/11 by people raising the al qaeda flag above a u.s. embassy. the world recognized what this was. maybe the white house played dumb. >> i want to go back to the chain of command. having worked in government the chain of command is important. the higher up you get the more important it becomes i say it goes susan rice, hillary clinton
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and then next up obama. the buck stops at the white house. look, the argument they have been making -- you know this better than i do, the argument they have been making is having killed osama bin laden al qaeda is no longer a problem. oops. this was an al qaeda terrorist plot, pre-planned an security breakdown on top of that. is that what they are trying to hide for this political election campaign? >> i believe so. they have invested so much in the notion that the president was coming in and change the relationship with that part of the world. osama bin laden was dead so we could slash defense and pull out of afghanistan early and leave iraq entirely and now the narrative is in tatters. they had a huge personal political interest in maintaining that narrative. it was wrong to begin. it is wrong now and the president himself, even the day after his own director of counterintelligence, matthew olson said it is a terrorist act. this guy went on "the view" of
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all places to repeat the lie. >> and it is worse than that. he went before the u.n. i read his speech. he had three fat paragraphs mr. obama did trying to sell the video/spontaneous demonstration. still, that was, what, this past tuesday. >> correct. >> and remember, he and mrs. clinton went on tv in pakistan still apologizing for the video. they have so much invested in the notion that if we reach out, don't offend these people we will get along fine. it is ludicrous. it's a lie and the president of the united states needs to come before the american people and explain to them what did he know? when did he know it? and why has he and senior officials been lying. >> is jack jacobs here. welcome. i want to bring you in. we have been talking about this whole situation. it looks, to me, like this was a major security breakdown. the intelligence people told them that this was with a
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pre-planned al qaeda terrorist attack within 24 hours of the awful killing of our ambassador and the other people with them. and the white house denied and denied it and are still denying it and i say susan rice should be fired. she should resign and i'm asking jack, up the chain of command, what is hillary clinton's role and what is president obama's role? >> well, let me tell you, everybody is responsible for everything that happens in his unit or fails to happen. the state department has a great deal to answer for. there's no doubt in my military mind this was a pre-planned attack. if you look at it as a small unit operation, they had mortars that they shot, combined with small arms, automatic weapons and rocket propel ed grenades. you do not collect that sort of equipment wandering around the streets of benghazi. this is a small-unit operation that had at least a modicum of planning. it was pre-planned and there is no doubt also that the security there -- it wasn't just awful.
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it was absolutely nonexistent. >> do you know, jarks, have you followed this -- everybody is waiting for the fbi to go to benghazi to find the people that killed our ambassador. but the fbi will not go to benghazi. they are in tripoli at our embassy there which has good security. they will not go to benghazi because the security is so awful. even now, 12, 14 days after the attack. so you have got to know that these al qaeda terrorist crazies, they knew that, and they were gunning for our ambassador and the white house was informed of it right away and they are covering that up, jack jacobs. >> it is absolutely true. now it's known the fbi is not only in benghazi, they are not going either. indeed it is even worse than that. there is a large number of witnesses whom they could interview in benghazi who will not go to tripoli to get interviewed by the fbi. they are very much concerned about their names being
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released, their families being in trouble. if they testify. they are not going anywhere. the fbi is not going to give any information from people who were on the ground and know what happened in benghazi. >> jennifer rubin, back to you. interesting. a bloomberg news poll, mitt romney is now plus six against obama on the issue of national security. >> yes. >> me, i think romney would be nuts if he doesn't press this case. you have a bipartisan group in the senate. democrats and republicans with a letter saying you have to give us a better hearing. you have to give us a better explanation. romney should be all over this. >> >> and they have not been. i have been complaining openly, in private, anywhere people will listen to me. it goes to the credible of the president and leadership. a person that would lie to the american people for his own political benefit about a incident of this level of severity on national security, that person doesn't belong in the white house. he needs to make that case.
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he can't make it through john mccain, as good as john mccain is, he can't make it through rudy giuliani as good as he is on this. he has to articulate himself and that's a test of leadership. >> should do it right now. thank you very much, colonel jack jacobs and jennifer rubin. read her blog right turn on the "washington post." it is where i learn about these things. on the side note, president obama took the time to call netanyahu. the white house says the president and the prime minister share a goal to prevent iran from having nuclear weapons. but romney told reporters afterwards that he told netanyahu he can't take military options off the table. take a look at this. this is not a good number. are we talking stall-speed recovery or outright recession? you know we have a lot of problems out there. we have this benghazi problem, the iranian problem with israel and now loutzcy economics coming in. i don't know what the heck we are going to do. later in the show we will talk about another problem, mitt
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romney. is mitt romney's problem mitt romney or his messaging? republicans seem to be divided and we will have a discussion. don't forget, folks, free market capitalism is the best path to prosperity. truth telling is the best path to prosperity. transparency is the best path to prosperity. i'm kudlow we'll be right back. at optionsxpress we're all about options trading. we create easy to use, powerful trading tools for all. look at these streaming charts! they're totally customizable and they let you visualize what might happen next. that's genius! strategies, chains, positions. we put 'em all on one screen! could we make placing a trade any easier? mmmm...could we? open an account today and get a free 13-month e ibd™ subscription when you call 1-888-280-0149 now. optionsxpress by charles schwab.
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tts been a worrisome week on the economic front but the week as a whole in stocks they lost 142 points. on the dow. the s&p dropped 199 and the nasdaq looses 64 points. picking up the bad news. look at the numbers. the chicago pmi, gdp, income, real consumer spending, durable goods, pndsing home sales all down weaker than expected or down. telltale signs of a stall-speed recovery or an out right recession? here we go again. joe, i begin with you. i know you don't buy in to the recession camp. i want to tell you, all of a sudden the bad numbers are coming back. what especially bothers me, i'd
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like your comment on this, manufacturing heading south, businesses capital goods, investment heading south. those are two basic drivers of the economy, and if that stops jobs are going to stop, too and so is everything else. >> larry, i think those are very good points. i would argue most of the weakness we are seeing in the manufacturing side is a function of much weaker export s because of weakness in europe and asia. i think what we are seeing in the latest chicago data is a catchup with all the other weakness we had seen in earlier surveys. i think the economy is weak. it's not strong by any means but the labor market looks like it is growing. i don't think it will rollover from modest job growth. claims are ploe low and tax receipts are improving. >> 1 30i7b 3% depend we got earlier this weak. a lot of people would call ate growth recession. i want to ask is this stall-speed or an actual
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recession? >> i think we have slowed since the 1.3% second quarter number larry. we are seeing durable goods orders down in july and august. we are seeing the pmi is down. importantly, europe is moving in to a recession. germany is now in recession and china is not doing its stimulus. you have a coordinated global slow down starts now and i think it is going to get worse. the reason is the pressure coming from the tax increase. businesses don't want to make a decision in the face of that much uncertainty and my view is the fed is actually contraction their. the more bonds the buy, the slower the economy goes. >> larry, i think david makes good points about global, no doubt it is hurting sentiment and the cliff is a big deal. if the cliff comes we will go in to a recession. i think that won't happen. i think the fed -- their policies have talked the economy
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down in some ways. but remember the economy is lean, corporate profits and margins are high. this is not the stuff of recessions. yes growth is slow but that's not a recession. >> profits have been slowing and they did the benchmark revision in the summer that was a downward revision. -- >> but, however, this past week we learned employment was revised up almost 400,000 in the last year. this is an economy that is still expanding. it's not growing very much. >> employment is famously a lagging indicator. you can't look at employment to lead. >> no, i don't. if you look at claims which are a leading indicator they moved down sharply the past few weeks. i don't think the labor moorkt is getting worse. it's just not a good economy but it's not one that is shrinking. >> right. larry, i'm looking in to 2013 and talking about a 2013 recession based on the bad policy developments in the u.s., in europe and in china. >> well, look, i think 1.3% gdp
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is no growth at all. i mean, really, that's the bottom line. whether technically you are right or technically joe is right, recession versus nonrecession. 1.3% gdp is not any good at all. i have two data points. two good pieces of news. we are seeing rising home prices for the first time in many years. that looks like a plus to me. i know it wasn't -- the stock market was down this week, but stocks have had a good 2012 and they have had a good last year. in fact, you could argue they have had a good three years. if stocks are rising and home prices are rising, david malpass you first, do they mitigate against a recession in the u.s.? >> yes, those are both good news as is joe's point about the jobless claims holding down. as always, we have a mixed picture. i think the balance is going to
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tip us toward recession an the bigger problem is as we slow down then it creates unintended consequences for example in europe with the euro hanging fire. it's going to be a bad outcome if we see the euro breaking up under the pressure of this u.s. slowdown. >> joe, i want to ask you about one of my favorite indicators, income. disposable income. after-tax, after-inflation income down 3/10 of 1%. that is flat . >> we had a run up in energy prices. >> heck ya. blame the fed. why are they cheapening the value of the dollar. >> larry that's another conversation. >> income is falling, joe. where are consumers going to spend? if information tors are going where they are going to hire. >> it looks like vehicle sales may have hit the high for the year in september. >> that's inflation, joe.
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>> here's the point i want to make on the stall speed if you take the first half of the year we averaged 1.7% growth. that's not much but it is potential because we under invested in the cycle, potential growth is very low. >> this is the most pathetic economic recovery. >> he is more bearish than i am. >> you are so far below potential growth right now. this is the worst recovery. i don't know fit is recovery and every time i get optimistic i get a spade of numbers that tell me not to be so optimistic. i want to be optimistic but i will tell you, 1.3, what is that? not recovery. thank you. you are both terrific. four years in to president obama's term we should be in recovery that is full speed ahead. instead we have in a stall speed growth recession. we will pursue the issue regarding the sthookt had a lousy week but a good quarter. we will get advice on that. later on in the show,
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lousy economic data this weekend and not surprisingly stocks dropped 142 dow points for the week. the third quarter, as a whole
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however was up 6%, although off the all-time high. the question is, can the third quarter rally continue? that's what we will ask our great friend jim -- director at gtm institutional services. it is funny these economic numbers have turned sour awfully fast. it is interesting. i want to ask is the drop in stocks a bump in the road? >> i think it is more than a bump in the road. i don't think there is huge dark clouds gathering. you and joe and dave talked about how the stock market is one good thing. i don't think agree with that. there is a dark side to the stock market. it masks structural problems them average person out there and i speak of this because we are five weeks from the election is looking at the newspaper and seeing a boring stock market and thinking things must be okay and ignore the other data which is awful. if you have a job right now you see your stocks going up, i don't think you think it is that bad. >> i'd like to say is this good
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past the start of something new and good but it was a lousy week. i'm obliged to ask is in the start of something bad? is there a serious correction about to develop. >> i think there is a correction. i don't know if it is serious right away. it seems ominous. sometimes there is something to it. they sometimes will lead. that could mean we have a little bit. they are renekting europe. joe mentioned something about our numbers were crummy but because demand was down in europe and china. i know he is not here to defend himself but that is a real thing. our numbers could be crummy for a while based on continuous weakness over there and the transports are reflecting that. >> qe three by the fed in perpetuity, pump priming. they have seen this people and they are not excited about the fed. what's the link between the fed
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and stocks? maybe it is weakening. >> it is weakening and the fact they threw us a curve ball with the qe in perpetuity. there is qe and how long will it go? that's a mild tail wind to the stock market but if things turn it could turn fairly fast. >> bull or bear monday morning, bull or bear. >> overall a bear but i like some stuff, like utilities and special circumstances things, like hewlett-packard that have been beaten down hard. >> appreciate it. >> thank you. now let's tourn the the presidential race. republicans are tearing out their hair trying to figure out why the romney campaign can't seem to get out of its own way. could the answer be mitt romney? we will debate that next up on kudlow. to the cheaters" vo: tough on china? not mitt romney. when a flood of chinese tires threatened a thousand american jobs... it was president obama who stood up to china and protected american workers.
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mitt romney attacked obama's decision... said standing up to china was "bad for the nation and our workers." how can mitt romney take on the cheaters... when he's taking their side?
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welcome back to "the kudlow report." i'm larry kudlow. in this half hour, you have to hear this late-breaking news. president obama blocked a chinese company from owning four wind farm projects in northern oregon. the reason -- apparently national security concerns. plus, our president has been touting his so-called new plan. he named it "patriotic economics." want a clue what it may be like?
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parlez vous fracais? . gop supporters can try to int blame clint eastwood's empty chair, media biased league polls, and video and in the end it could be mitt. that according to an southwesting piece in "politico" today. here's the co-author of the aforementioned piece, senior political reporter johnathon martin and robert costa of the national review. and strategist roger stone. so johnathon, it's not the convention, right? it's not the 47% for gaffer of or the /* /- or the lousy management it is mitt. explain what you mean by that.
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>> we get so caught up watching this campaigning day in and out and the latest economic indicators. it is important to step back and put our shoes in the average swing voter isn't paying that close attention. consider what they see. if you look at romney in terms of his resume running right now as a former corporate specialist at a time in the first major election since the great recession and look at his demeanor and how he comes off and how he appears, if you look -- if you use that as a gauge for a lot of voters for swing voters that's not an appealing package. i think that his fundamental challenge. if you look at larry the polling or talk to those sampled and they say what don't you like about romney it is some variation of he's for the rich or he wants to look after people like him. i think that gets back to those two issues. how he comes across in his resume. >> the guy is not a slick
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politician. there's no two ways -- no argument from me on that but robert costa, romney is a 1950s guy and kind of a square, but we seen in the last four years a lot of slip hipster -- maybe the hipster idea will be passe and main it is time go back to the 1950s type guy to balance the books keep us out of bankruptcy and grow the economy. what do you think. >> you are right. there are a lot of hipster politician and consul stants in washington who i think are hammering way too early. in '80 ronald reagan was bemind the polls and had great debates and rises in the polls and bush in '88 had great debates and starts to rise. too early to complain. >> you don't agree with johnathon martin? >> john is one of the best reporters in washington but he is talking to a lot of must be pun /* republicans that are
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getting nervous. they don't see romney has a 50s guy but a viable alternative. >> agree with that. >> let me bring you in to this. i argue differently than what johnathon is saying. i think mitt is muddying his message on a variety of issues, including the tax issue which he just wrote up this week and i threw two with temper tantrums a blog and full column on the subject and got calls from ultra senior people in the romney campaign that i'm not sure frankly i wanted to talk to. you see roger stone, i don't know what mitt's message is sometimes. i think i know what he intends it to be. but he is not getting it out and talking to the middle class. >> the real problem with the mitt romney campaign is mitt romney. he is inauthentic. he comes across as a guy that will say and be anything you need him to be. he is not a conservative. never has been. he talks about reagan but he didn't support him for president in '80 or '84 in the general election. just like his father --
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>> those that say reagan was behind and pulled ahead, he was likable. voters have to like the candidate they vote for at a certain level. the problem with mitt romney is he no people think you don't feel he shares yourry sentiments, hopes, desire, aspirations. he comes across as a guy that is mouthing the word and doesn't believe them. >> that's the challenge. if you look at some verbatim responsings to the polls, the challenge is can the relate to my challenges and life? look at the data. people are asked is this somebody that cares about people like you and overwhelmingly more folks say no than yes. that's his challenge in the last 39 days in the three debates coming up next showing how he can relate to people and improve their lot over the next four years. >> i agree with that. >> it is not much of a
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challenge. if you look at the gallup tracking poll romney is close. you can complain he is not a great candidate but the race is a dead heat. >> let's be clear. he is under water. more voters view him unfavorably more than favorably. that's not true of obama and candidates under water barely win. hitting 50, a candidate at or over 50 wins. >> john, i have to go back to this and you may disagree and i appreciate that. mitt romney has a tax cut plan and he's not connecting it to middle-class voters. >> never talks about it. >> never talks about it. if you track his tax cuts and i did write a piece on this, you have huge savings, take-home pay for middle income families would go up a lot, like from 2,000 to as much as 10 to $12,000. to me that is golden if he would talk about it. reagan used to talk about take-home pay and how people
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would benefit and focus on the middle class. mitt doesn't do that. he gives a stump in ohio this past week and says don't look to me your tax cut is not have big and i'm going tyke away your deductions. what message is that? >> this not jack kemp. those that like the campian style of conservatism have been disappointed with romney. the romney high command has concluded they are not going to win a referendum campaign on president obama. they have to win a choice election. that is clear. if that is the case -- >> tloing the middle class. they have to link. >> they have to link the case. >> four years. >> you have to link the tax cuts to the middle class and get them out of this mess. >> larry you get disappointed when doesn't mention supply side. >> only supply ciders win. all the other guys, john mccain, bob dole and pa a pa bush, they are not supply cider and they
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lose. >> he comes from the business world. he comes from the business world. >> roger stone, i think mitt needs better humor. i was watching a video with mitt and anne. i think they are great people. they said what is your biggest treat and anne said having a jelly doughnut that's your biggest treat. that's a little weak. and the interviewer asking mitt, and he says peanut butter sandwich and chocolate milk. nobody drinks chocolate milk anymore. mitt should have said i really love sitting in the back of my bentley convertible and having my driver take me out to the country. that would have been totally cool. >> it would be real. >> it would have been real. people would have admired that. >> his message is dower and apop liptic. it is why i don't think he will win. >> johnathon martin, a bentley
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in every garage has to be his slogan. >> and chicken in every pot. >> always good to see you. here's a programming note. spend your primetime with us on wednesday night for the debate. cnbc will be there live. i will have full coverage before and after the debate. up next this evening, the president blocks a chinese buy business deal in the u.s. for security reasons. isn't that right? >> thank you, larry. a dramatic, unusual announcement from the obama administration involving a chinese wind farm facility in oregon that just happens to be right next to a sensitive united states military base. i will have all of the details when "the kudlow report" comes back. want to try to crack it? yeah, that's the way to do it!
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president obama blocked a chinese company from owning four wind farm projects up in northern oregon. the reason, national security concerns. cnbc's amman jabbers is joining us. good evening. >> it was an unusual and dramatic announcement from the president that a came in this afternoon. not only unusual for a president to stop in and block a deal like this from a chinese company to buy in to fe wind farm project in oregon the language of the order was something that observers tell us they have never seen before. it requires the companies, the corporation to remove all items, structures of any kind, physical objects and including the concrete foundations of anything built on this site in oregon from the site. they are saying you have to basically raze this site. why was that ordered? the treasury department a little later in the afternoon putting out a statement, giving us more clarity, explaining these wind farm sites are within or in the
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vicinity of restricted air space at the naval weapons system training facility in oregon. we have video of the facility in oregon. some sensitive things going on at this facility. we checked the website. this might be a little bit about what the navy was concerned about here. here's what they do there, conduct electronic combat training, intercepting and locating enemy emitter and test and evaluate unmanned aerial systems, that is drones. so the administration is saying it is a national security concern to have a chinese company owning a wind farm that is so close to such a sensitive u.s. military site. larry. >> i don't have any problem with any of this and don't know the details. china just went to the wto, the world trade organization, do these things have to bed a jewty kated in the wto or is the national security argument overwhelming and we don't have to go to the world trade organization?
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>> it is. this was handled through the sifous process. we have seen this controversy flair up in the past. what i tamm am told by experts today this is the first time it has got on the the level in more than 20 years when the president issues an order to block the acquisition of the company, in this case the chinese company from acquiring wind farms. that's a first people haven't seen in a couple of decades here in washington. >> thank you very much. >> you bet. >> president obama maybe blocking a chinese company, but chinese is being embraced in a new initiative in delaware's public school. hundreds of kindergarteners will begin an immersion program in mandarin and spanish. i'm joined by governor and an opponent idea david schweiker.
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welcome, sir. it is an interesting idea. spanish and mandarin. let me ask you, do the kids have a choice? do they have to take both? can they choose one? and did the parents in the school district sign off on this? >> of course. this is entirely voluntary on behalf of the parents. parents don't have to choose mandarin or spanish. the bottom line is this, around the world there are 3 billion people looking for work. there are 1.2 billion jobs available. we are in a global war for jobs. my job is to make sure the people of delaware are as competitive as can be when it comes jobs of the future and i think speaking more than one language is an important step. >> to clarify this then, if the kids don't want to do it. if they want to be taught all math, science, reading and so forth and don't want to take chinese and mandarin it is okay. do i get that right? >> absolutely, yes. it's okay. >> having heard that, what's
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your beef? >> my beef is less about, on that a particular point. if you actually read the governor's article it is well written. the last paragraph you have to embrace and love but it is the arrogance that somehow we, in government, are smart enough with our crystal ball to see what the future is. i remember in the '80s, when i was signing up for grad school they wanted me to speak japanese because remember in the '80s, the japanese economy was going to rule the world. it's trying to let government sort of choose winners and losers and predict the future. how do you do -- hopefully where the governor will actually go is providing to give the students the choice. >> i don't think it is actually picking winners or losers when you say this is a language spoken by a billion people around the world. people who speak japanese today, by the way, have a good leg up. it is still an important part of our global economy. >> governor, the problem is
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patterns. >> these decisions are made by local schools. these decisions are made by local communities which languages do they think is most important for their kids to learn. >> governor, many of us come from the philosophy, i hope it is made ultimately by the parents and input from the children. and where the children's talent set is. i see this sort of migration of those who hold elected office sort of picking winners and losers and predicting the future because we do it poorly. okay, japanese was the rage. but japanese -- let me finish. >> go ahead. >> japanese you the raise 20 years ago. maybe brazil is the next great winner? >> absolutely. >> we have to be care nfl how we predict the future. >> please continue, governor. >> first of all, i think it is absolutely fair when we predict the future to say that being able to speak more than one
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language is a critical element. if local communities decide they think it is better for portuguese or for that matter in sussex county, delaware, rural part of our state, a south korean company recently purchased an important company. if they decides it ought to be korean, these decisions will not be made central centrally but at the community level. to say it is too much for us to predict the future and make it possible for kids to do a much better job of learning a different language, i have to respectfully disagree. >> i have to leave it there. thank you, gentlemen. as always. our president has been touting his so-called new plan. he has named it "patriotic economics." more like unpatriotic. it is more of the same. free market friday process. we will debate up next. r streaming quotes, any way you want.
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welcome back, everyone. so france unveils a 75% super tax on those earning over 1 million euros a year. 75%. that's their version of economic patriot inch in the face of record unemployment and stagnating economy. that's france. sound outrageous? don't think it couldn't happen here. they broke down president obama's latest quote unpatriotic
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unquote economic plan which they call a junk proposal grab bag of failed promises. just four points. trade and manufacturing jobs, sure. cut oil import and produce more green energy, sure. more teachers and expand student aid and beef up public unions, sure. cut the deficit and raise the tax rates on upper incomes of successful businesses, guess what it has not worked so far. if it was going to work, it would have already worked. so is this really obama's version of economic patriotism? let's talk. here's jimmy william and cnbc contributor of the american enterprise institute. what is so bloody patriotic about tax hikes, spending increases, regulatory increases and a lousy, worst economy since 1947? >> i'm worried what we will see in 2013 if the president wins is an economic patriot act.
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and part of it will be dramatically higher taxes on wealthier americans, entrepreneurs. anyone who thinks the end of the obama tax hikes are going to be raising it back to the clinton levels are crazy. you are going to see surtaxes, surtaxes on corporations. there's no way the obama spending numbers work without dramatically higher taxes far above what we saw in the clinton years. >> one of these things has my goat. obama talks about cutting tuition, you can't cut tuition if you expand student loans, is inflated tuition costs across the country and created a trillion dollars of debt that this country and the kids that get the debt can't possibly afford. this is like everything government does turns out i to be magic. i would say everything government does turns out to be unmagical. >> listen, i'm not going to have a conversation about tuition costs. >> i want to.
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>> i have no desire. i don't have kids and i'm done with college and i don't know enough about it so i will not sit here and bs you on a friday night. everything my friend said about doomsday, the higher taxes, the world is going to implode, concave in to itself is the same bs we heard when bill clinton was running for president before and it didn't happen. our tax rates were higher and the world did not implode. >> bill clinton cut spending. >> bill clinton did cut spending. >> that's correct. >> bill clinton was worried about deficits. be obama is increasing spending. he wants tax credits and spending subsidies. >> this is not what with tax cuts to higher people -- >> i will ask you about when he talks about energy he is not talking about fraking or shale. he is talking about more green energy spending. that's the difference between
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him and clinton. >> appreciate that. what i'm saying is if you don't like the same as it ever was, let's have a conversation about the bush years if we are going to talk about what worked and didn't work, bush's policies did not work. if you don't believe me, look at the 4.5 million jobs. >> what do you mean? >> 2008 until january 2009, we lost 4.5 million jobs. >> do you know over the same time span that bush created more jobs. the bush recovery created more jobs than the obama -- >> what was -- >> even though the recession was much milder,crea more jobs than obama did. using the obama metric. listen, i know this is stunning because you watch the democratic national convention and heard those numbers over and other own. over the same time period. >> here's where i got my facts. >> let me finish. >> go ahead. >> over the same time period, the same way that the obama
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campaign measures job growth bush created more jobs. that's a fact. private sector jobs. >> the 4.5 million jobs. >> what you are saying is. >> i'm saying the facts. >> where are they coming from bs.gov? >> labor department. >> page 47, line 12. >> okay. i'm glad you made up the numbers. i'm glad. >> january 28, january 2009 they lost -- >> do you understand everything the president says may not be accurate. they may have fudged the numbers. we can go over this over and over. >> let's go over it. >> larry, get out the number. the exact way -- >> you are cherly picking. >> i'm laying out the facts. >> if we are going to have a conversation about politics, let's talk about it. >> i happen to know these numbers. when i see this economic patriotism stuff. >> right. >> it burns me up because it's
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more spending and more taxing and there's nobody, nobody that wants to cut defense spending more than barack obama. and that is not -- >> except for paul ryan. >> i beg your pardon. ryan recast a bill that will -- >> he is for it. >> obama is just catering to the virginia voters and they are not going to buy it. they won't buy it. >> i'm larry kudlow. that's it for tonight's show. economic patriotism, you know what that means, grow the economy by 6 or 7% a year. [ man ] not only that, the silverado's powertrain warranty is 40,000 miles more than ford. and this workhorse gives you the power of a v8 with the highway fuel economy of a v6. incredible! right? an amazing test drive. i agree.
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